Personal Finance 4 You

Adjust your spending to fulfill predictions

noreply@blogger.com (PungPond) — Tue, 04 Mar 2008 09:47:00 +0000

You'll know a "convenient" psychic by the consistency of his/her predictions. The oldest trick in the book is to change, or adjust, predictions based on new information. When the client offers new and important information, predictions "conveniently" change. You acquire new information all the time while tracking and comparing your spending. Adjusting spending is directly related to the tracking and comparison of spending transactions. Use this new information to adjust your spending accordingly and help fulfill predictions.

Adjust spending to keep your spending management plan on track. If you are tracking and comparing your spending, as you should be, adjusting will come naturally. You'll adjust current and future spending, if necessary, to meet more realistic values. Adjust future goals that could be effected as well.

Help fulfill your financial goals by adjusting your spending and/or goals. At some point, while tracking and comparing your spending transactions, you may find that funds are not available, as planned, to set aside for predicted future spending or goals. In this case, you will need to first adjust what you currently spend if possible. If adjusting what you currently spend is not an option, then adjust the goal to a more realistic value or timeline. Perhaps you will need to reduce the allowance set aside for this goal and extend the estimated time to complete.

Your spending management plan is not written in stone. It is intended to be a plan for now, a plan for the future, a plan for life. Life changes. Families grow, children grow, and sometimes life brings us little surprises along the way. Your needs and your family's needs will change. A complete spending management system will help you predict, plan for, and achieve the financial needs to accommodate those changes in life. Spending management is a beautiful system of money management that grows with you throughout life. Plan, track, compare, and adjust your spending mangagement plan accordingly to meet your growing needs.

Monitoring your spending

noreply@blogger.com (PungPond) — Mon, 25 Feb 2008 04:41:00 +0000

I'd much prefer if all predictions, at least the good ones, went exactly as predicted. However, sometimes reality is much different. You should be monitoring your spending by tracking and assigning purchases on a daily basis. What if you consistently find that your spending predictions are out of line with "real" spending. Comparing spending is necessary to keep your budgeting figures "real" and practical. It will be difficult to maintain a spending management plan on unrealistic money values. Keep expected spending figures at a practical value.
For example, you've predicted and planned that you will spend, on average, $195 for your electricity expense per month. But, try as you may, you consistently spend closer to $230 per month. Expenses that vary, like some utilities, should be averaged to a realistic value in your spending management budget plan. If you find by comparing your actual spending to your planned spending that the actual value is less, or more, than predicted, you must consider that your prediction may have been a little off. Comparing actual spending habits with predicted spending is essential to budget planning success. Compare your spending, and keep it real, and you'll succeed!
Comparing past and current spending will be helpful in analyzing realistic future goals. If you know you only have a specific amount of funding, after setting aside for expected expenses, you have a clearer understanding of how much you can set aside for future goals and approximately when they will be realized. Setting a financial goal only to find that it is not possible to complete the plan financially, or in the time allotted, can be discouraging. Compare to be realistic with your financial goals.
Comparing predictions with reality is important in keeping your spending management plan "real." Expecting more of yourself than realistically, financially, possible will only result in financial failures. You want to work towards financial successes. Don't live in a fantasy financial world. Don't set yourself up for failure. Individuals who do, tend to fall away from budget planning and ignore financial goals altogether. Comparing your past, present, and planned spending is essential to complete spending management. Creating, and properly maintaining, a complete spending management plan is the key to financial success.

Track and record finances

noreply@blogger.com (PungPond) — Mon, 18 Feb 2008 01:55:00 +0000

You've created a great budget and have planned for current and future spending. You want your spending predictions and financial goals to stay on track, now that you have a practical plan to achieve them. Today's spending will directly effect the success of planned spending. After all, if you overspend on current needs, you won't have the funds available to keep your finances moving towards your goals. So, how can you assure yourself that your finances are moving in the right direction? Tracking spending accounts keeps you in control of your money!

Track your spending accounts and assign transactions to appropriate budget categories daily. Making this a daily "to-do" will give you the knowledge to keep your finances moving in the right direction. Tracking purchase transactions daily gives you a clear picture of how much you have left to spend in each category at any given time. You've set your limits based on your individual financial information. Now, track your spending to be sure you stay within those limits. If you skip this important part of a complete spending management system, you will inevitably overspend and be short the funds to apply to future spending and goals. Give your financial predictions the winning edge. Track spending daily.

Tracking in real time is an innovative method of tracking your money. Real time money management retrieves transactions from spending accounts in a timely, efficient, manner so you can stay on top of spending everyday. Assigning spending transactions to their appropriate categories, as soon as possible, gives you an up to date picture of how much you have spent, and how much you have left to spend, in each budget category. This technique eliminates month end spending surprises and puts you in total control of your money.

Finding out you've over spent after the fact doesn't leave you many options. You no longer have the option not to spend on that expense. You must adjust other spending goals to make up for the mistake. Usually, this adjustment will come from your planned future spending. Your funding for future financial goals will be neglected and your budget falls away from "the plan." It's too late to adjust your spending accordingly once the money is spent. That's why it's so important to track your spending as it occurs.
Keep your predictions and goals on track. Track and record purchases in a timely, efficient, manner to maintain complete control of your money. This is an essential part of a complete spending management system. Know what your current financial picture looks like to give yourself more decision options. Keep the doors to your financial success open. Track your spending to keep your financial predictions and goals on track.

Preparing for future spending

noreply@blogger.com (PungPond) — Wed, 13 Feb 2008 06:46:00 +0000

Just as spending management is your financial crystal ball, budget planning is predicting the future. When you analyze your spending and plan for it, you are budgeting for your household and personal spending. It's not enough, however, to simply get by for today. The way to realize financial success is to predict, and plan a budget for, future spending as well. A complete money management system will provide tools for predicting and preparing for future spending.

Seeing beyond today's spending, and planning for future spending, is the way to achieve your predictions for future financial goals. Let's say you predict that you will be free from debt. You set a goal to become debt free. You create a practical debt elimination program and include the amount for payment in your budget plan. Your budget now includes a plan to set aside money so funds are available when payment is due. And, your goal to become debt free is achieved on schedule.

If you're financially able, you may predict and plan for other financial needs at the same time. Otherwise, predicting, planning, and achieving each goal in order of priority is a logical way to approach all of your financial goals. Reviewing current and past spending and situations can aid you in predicting future needs for yourself and other family members.

You look into your crystal ball and see that sometime in the future you will probably need a family car replacement, or major repairs on the current family car. Planning for future spending is one of the great benefits of a complete spending management system. Budgets allow preparation for predictable and unpredictable (emergency) expenses. You predict how much money, and when, you will need to accomplish a goal ( or fulfill a need ) and plan for it accordingly. Set aside a specific amount each pay period to meet the needs of a goal.

Include preparation for life's unpredictable emergencies in your budget plan as well. This will keep you more focused during times of need. This theory applies to every goal you have set. Whether your crystal ball foresees a new home, a college education, a wedding, or other major life change, you will plan and save for this future spending in your budget.

By now, you should be realizing the benefits of having your own crystal ball to guide you down the path to financial independence. You should also understand why budgeting is an important part of complete spending management. Budgeting will prepare you for whatever the future holds for you and your family. Emergencies will be merely obstacles that might set you back somewhat. They will no longer be financially devastating events.

Give yourself a clear picture of your financial future. Predict what you want (or will need) and plan for your goals accordingly. Budgeting for current and future spending is essential to realizing your financial predictions, independence, and security. So, what are you waiting for? Look into your crystal ball and start your budget plan today!

Money Management Technique

noreply@blogger.com (PungPond) — Thu, 07 Feb 2008 03:22:00 +0000

Look into my crystal ballI shall tell of riches big and small!— A line from just about any psychic advertisement.
Well, as far as psychics go, I can't say if there's any truth in it or not. However, if that crystal ball was a spending management plan (a complete money management technique), I'd say that psychic was right on target! Fact of the matter is - you can't really predict the state of future finances without planning for them. That's just part of what managing your spending completely can do for you. When you use this complete money management technique your are...

Planning for spending – Budget and set aside funds for current and future spending (expected and unexpected). This means being prepared, and having funding available, for expected and necessary expenses, as well as unexpected (emergency) spending.
Tracking spending – Track what you spend by reviewing and recording spending transactions in appropriate budget expense categories. Keep track of total amounts spent in each category to keep within planned limits.
Comparing spending – Look into your crystal ball. Compare what you've actually spent with what you've planned to spend. Is it more or is it less? Compare past spending with current spending and planned future spending to foresee and anticipate (plan for) consistence growth, or decline, of amounts spent.
Adjusting spending – Adjust planning, spending, and goals to meet changing needs. Adjust what you spend accordingly, as per comparison results, to meet actual and future needs.
Your spending management plan is your financial crystal ball. Setting financial goals, and planning for future spending, allows you to somewhat predict your future. Set goals for the future:

plan your budget
track spending transactions regularly to stay within budget expense limits
compare your planned spending (budget plan), actual spending and advancement towards goals
adjust goals or spending limits if necessary to stay on track with planning

If you consistently follow this process of planning, tracking, comparing, and adjusting you will be successful at completely managing your money. You will meet your financial goals and be financially independent and secure!
Look into your crystal balland see the riches big and small.Oh, the riches you will see,when you manage spending completely
Learn more about this innovative complete money management program that will help you take control of your money and reach financial goals.

Saving Money on Treats

noreply@blogger.com (PungPond) — Mon, 04 Feb 2008 02:23:00 +0000

We all know it's healthier to just eliminate desserts and snacks from our food budget. But, how many of us do? We are constantly bombarded with ads for these yummy treats. Our taste buds call out for them. Prepackaged desserts and snacks can be quite expensive. But, you don't have to give up your favorite desserts and snacks to save money. You can have your cake, eat healthier snacks, and save money too! Your Sunday savings challenge is to make a dessert or snack and enjoy it! This may be the best (or yummiest) savings challenge yet. Here are a few tips for saving money on treats.

For a special Sunday family treat, buy your favorite ice cream sundae ingredients and make your own Sunday Sundaes. Make it a Sunday family tradition. The children will have just as much fun creating their own sundaes as they will eating these yummy treats. Going out for ice cream sundaes will cost plenty of money. Save money when you create your own at home.
Instead of buying microwave popcorn, invest in a popper (or pop on stovetop) and buy regular popcorn kernels. This method of popping corn is healthier, saves a lot of money, and tastes better.
Most cake mixes require milk, egg, and oil. For not much more effort you can mix your dry ingredients from scratch as well. Save money, don't buy boxed cake, cupcake, or brownie mixes. Make your own!
Find an easy fudge recipe. Your kids will love you!
Popcorn balls, candy (or caramel) apples, monkey bread, and rice crispy treats are all easy to make yourself
Cookie savings anyone? Bake a variety of cookies (peanut butter, oatmeal, chocolate chip, sugar) and store in tightly sealed containers to have treats on hand whenever you need them.
Salty savings - Cook your own fries and chips for cheaper salty snacks. A ten pound bag of potatoes costs just a few cents more than an 18 oz bag of chips.
You can bake your own crackers. Don't believe it? Here's a recipe to try:

Wheat Thins

(makes 2/3 lb)Preheat oven to 350 degrees

F.Combine in a mixing bowl:

2 cups whole wheat flour

2 Tablespoons wheat germ

1 teaspoon salt

1 teaspoon baking powder

2 Tablespoons brown sugar

2 Tablespoons dry milk

Cut in with a pastry blender:6 Tablespoons

MargarineCombine separately and stir in:

1/2 cup water1 Tablespoon Molasses

Knead a little until smooth. Grease two cookie sheets and sprinkle each with cornmeal. Divide dough in half. Roll out half of dough directly onto cookie sheet with floured rolling pin. Roll dime thin. Sprinkle lightly with paprika, garlic, onion, or seasoned salt. Run rolling pin over once more. Prick with fork. Cut in squares or triangles. Bake 10 minutes or until lightly browned. - courtesy Doris Janzen Longacre's More with Less Cookbook

Funds for entertaining yourself and your Family

noreply@blogger.com (PungPond) — Mon, 21 Jan 2008 02:31:00 +0000

Family entertainment is important, especially if you have children. That's why it's so important to include family time in your budget planning. Set aside funds for entertaining yourself and your family. Your Saturday savings challenge is to think of a number of ways to entertain your family on a budget. Budget a family movie night, a weekend local trip, a sightseeing tour of local attractions, or a dinner out once in a while. Plan for it and you'll have the finances available to do it! I know it can be difficult to plan entertainment if you're on a really tight budget. Here are some ideas for family fun that could help you save money.
Bringing in a tradition of family nights at home is a great way to save money on family entertaining. Designate a night each week for family games, crafts, movies, and even cooking. Some of these are also great ways to sneak in quality time with your kids! On game night choose games that are suited for the age range of all children, or have two game nights if ages vary drastically. Dedicate one family game night to younger children, the other to older children. Adults, of course, should participate in both.
Family cooking night is a good time to practice math skills, as well as have loads of fun and yummy treats. Whether you cook desserts or bake bread (which is great fun for the children!), children get a lot of practice using fractions in measuring. Here's a family favorite that children love. Your children will think their at the carnival!

Funnel Cakes (Makes 4)
1 Egg
2/3 cup milk
1/4 teaspoon salt
2 Tablespoons sugar
1 & 1/3 cups sifted all-purpose flour
3/4 teaspoon baking powdervegetable oil for frying
1/4 cup confectioners (powdered) sugar for dusting cakesOne Funnel

Combine dry ingredients. In separate bowl, lightly beat egg into milk. Add milk mixture to dry ingredients and mix well, until smooth. Place about 1 inch oil in frying pan or electric skillet. Heat to 350 degrees F. Note: Adults should always do the actual cooking when hot oil is used. Use a ladle to scoop one full ladle of batter into funnel (be careful to hold one finger over hole of funnel to prevent leakage) Hold funnel over oil. Starting at center, release finger from hole of funnel, and moving around in a circular pattern dispense batter until all in funnel is gone. Turn over with tongs when light golden color is achieved. Cook other side to lightly brown and remove to drain. Shake or sprinkle on dusting of powdered sugar. Serve warm.
Family Crafts can be not only entertaining, but could provide lasting family treasures and decorations. During holidays create holiday specific ornaments and crafts, Children's homemade crafts can be displayed and then stored for their future enjoyment. Children love going back and looking at items they created during younger years. Scrapbooking is becoming a popular family pastime that you may consider for a craft night.
Going to the movies today is cost prohibitive for many larger families. Even a family of four can break the bank it they enjoy the snack bar. But, you can enjoy your movies at home and have your snack too! Rent movies for a family movie night. Enjoying movies at home can prove to be cheap entertainment for the entire family. Pop your own popcorn. Don't use those little microwave bags. They cost tons more than investing in a good popcorn popper and regular popping kernels. Bake goodies on your cooking night in preparation for family movie night snacking.
Besides enjoying family nights at home, you can enjoy some low cost entertainment out. Many bowling alleys and roller skating rinks have family night where entrance and game fees are reduced. If you choose to dine out, look for family nights at restaurants, and/or use restaurant coupons to save money on the bill. You may have historic landmarks in your area that your children would enjoy visiting. Use your imagination to cut costs on family entertainment. Have some family fun and save money too.

Enjoy lower Utility Bills

noreply@blogger.com (PungPond) — Tue, 15 Jan 2008 09:39:00 +0000

Reducing monthly bills is just one more way to save money on your household budget. While air conditioning and heating are responsible for a good portion of utility costs, there are other areas where you can take measures to conserve energy and save on utilities. Here are some additional conservation tips to help reduce utility bills and save money.

Hot Water Heater:

Blanket your water heater with an approved insulation jacket
Set hot water temperature at 120 or lower (unless you have a dishwasher, follow recommended guidelines)
Insulate hot water pipes
Use cold water in washer rinse cycle
Clean and maintain water heater. Drain water from bottom of water heater tank to remove sediment, at least one or two times per year.
Take showers instead of baths
Reduce wasted water. Fix leaky faucets promptly

Small Appliances and lights:

Use florescent bulbs
Turn off small appliances and lights when not in use
Install and use dimmer switches to reduce energy used by lights
When buying new appliances, look for ones with auto shut offs to reduce wasted energy
Unplug TV, cable box, computer, and other electronic devices while away from home

Large Appliances:

Use the energy saving cycle on the dishwasher and wash full loads only
Clean drains and / or filters regularly on all applicable appliances to increase efficiency
Only wash clothes when you have a full load
Use the smallest pan possible when cooking, and cover pots to retain heat
Reduce stovetop and oven use. Use a crock pot, toaster oven, or microwave whenever possible
Turn off burners and oven just before cooking is completed
Reduce oven heat loss. Avoid opening oven door during baking
Avoid excessive opening of refrigerator door
Let hot items cool before placing in refrigerator
Make sure door gaskets have a tight seal on refrigerator
Ask your local utility company to do an energy assessment on your home

If you are on a low or limited income, you may qualify for assistance in replacing or repairing furnaces and refrigerators. The Weatherization Assistance Program is designed to assist limited income families with reducing their energy usage by providing installation of energy conserving measures, as well as offering furnace cleaning and tuning. Eligibility is based on Energy Assistant Program guidelines. Contact your local Department of Housing and Community Development to see if you qualify. Also, inquire about income guidelines for other energy assistant programs like utility bill payments. Many families qualify for energy assistance and do not take advantage of this service.
Use as many energy conservation tips as possible to complete your savings challenge and reduce utility bills. Then, practice these tips year round to conserve energy and enjoy lower utility bills. Add insulation products as can be afforded in attics, basements, crawlspaces, around windows and doors, pipes and hot water heater to reduce heat and air loss. Each little savings will add to the cumulative value of your conservation efforts and mean more savings on your energy bills.

Conserving our Resources

noreply@blogger.com (PungPond) — Mon, 07 Jan 2008 03:43:00 +0000

Energy consumption is a big concern for many families. Your savings challenge today is to conserve as much energy as possible. Heating and air conditioning can take a big bite out of your budget. Since you're not likely to negotiate a lower rate with the utility company, energy conservation is the best way to lower utility bills. You'll not only save money, you'll be conserving our resources. The type of home you live in can play an important part in determining how much energy you use. Other factors, such as health and lifestyle, can also play a major part in energy consumption. Here are some heating and air conditioning tips that will help your save on energy and trim your utility bill.
Very old homes may not be insulated sufficiently and could benefit from added insulation. When these homes were built, conserving energy was not a big concern and was not given priority during construction. Newer homes have addressed energy concerns during construction and may be sufficiently insulated, but you can still save energy through conserving.

People with certain health problems will almost always require the use of air conditioning in the summer. When you are at home, and have no health problems aggravated by heat and humidity, eliminating the use of air conditioning will save substantial money on your utility bills. Most of us seek some period of relief during extremely hot summer days. If you live near a mall or department store, you may find some relief from the heat by taking a stroll around the mall. Just be careful not to blow your savings on compulsive purchases. Using a dehumidifier can greatly reduce humidity in your home and consequently provide a cooler feeling environment. It will use less energy than air conditioning, which also dehumidifies the air. Use fans (ceiling, floor, window, etc.) for ventilation and increased air flow.

Don't cook during the hottest hours of the day if it can be avoided. Do all baking, if your must bake in the summer, during cooler evening hours. Reduce oven usage as much as possible to avoid putting additional heat in the home. Plan no cook meals, such as sandwiches and salads, during hottest days. When you do cook, use the microwave or barbeque, instead of stove top or oven, for cooking. Avoid or limit usage of any heat producing appliances during hottest hours.

Since we need heat during winter months, it would be hard not to use the heat at all. However, you can save money by using conservation efforts everyday. Home insulation will go a long way in conserving if your home is lacking. This can mean a major home improvement for some families to achieve proper and effective insulation standards, depending on the age of your home. These types of home improvements are tax deductible for most individuals. But, even if you can't afford a major home improvement, you can reduce energy consumption through smaller conservation measures. Window insulation, outlet and light switch insulators, and storm windows are just a few measures that can improve your home's energy efficiency. Prevent heat loss by finding and fixing air leaks in the home.

Wear warmer clothing, layers of clothing are best, during the winter months and reduce the thermostat as low as is tolerable. Bake at night and dry clothes at night, during colder periods, to take advantage of heat from heat producing appliances. Clean furnace filter once a month for best performance. Maintain furnace and air condition units on a regular schedule to keep them operating efficiently. Don't make your furnace work harder than it has to, you'll pay for it. While these are great ways to save on heating and air condition, there are lots of other ways to conserve energy and reduce that bill. More tips to reduce your utility bills on Frugal Friday!

Thinking about Recycling

noreply@blogger.com (PungPond) — Wed, 12 Dec 2007 11:05:00 +0000

Your Wednesday savings challenge is to recycle as much as possible. Or, at least think of ways to recycle. Make a list to see how many tips for recycling you can come up with. Recycling not only saves money, it saves our resources and the environment. Everyone wins when you recycle. Recycling is not just for homemade kids crafts any more. Many items can recycled for everyday household uses. Don't throw anything away until you think of at least three alternative uses for recycling it. Here are a few recycling tips to get you started thinking about recycling.
Egg cartons. Both cardboard and styrofoam cartons are well known in craft making circles for a variety of craft needs. Styrofoam egg cartons also can be recycled to use as reserve ice cube trays. If you're having a party and need some extra ice, cut these in half and use the bottom for individual ice cubes. The top can even be used to make one large cube for a punch bowl. Or, leave top on to make for easier stacking of water filled bottoms. Just close the lid to stack one on top of the other. The separated little compartments are great for storing and organizing small items such as, Christmas ornaments, buttons, nuts and bolts, jewelry, coins, etc. Gardeners will love to use egg cartons as seed starters. There are many more recycle uses for egg cartons. See how many you can think of.
Coffee Cans. The newer, no can opener required, coffee cans are great for recycling. You don't have to worry anymore about dangerous sharp edges. Use for storage, make a piggy bank, bake perfectly round bread, make play instruments (drums and noise makers) for children, houseplant saucers, and much more. I'm sure you can think of a few more recycle uses for coffee cans right now!
Foam Food Trays. These make great toy airplanes. Cut out your own patterns and use cleaned foam food trays to cut out pieces and put together. Reuse as disposable serving platters for picnics, barbeques, or parties. Use to cut shapes for mini wreaths, Christmas ornaments, and a variety of other craft uses.
Magazines. Use the colorful pages for small gift wrapping. Roll up to make boot trees that help keep boots in shape during storage. Save for future use in kids crafts and collages.
Garden hose. Cover swing set chains. Protect saw blades or ice skate blades (slit lengthwise and fit over saw or skate blade). Make a play phone from a cut piece with funnels (or cans) attached to each end.
Each time you go to throw an item away, whether it be a can, carton, or box, stop and think of how many ways you can recycle it. Use it for that recycled purpose if it suits your needs. If not, just write it down on your recycling list. Thinking of recycling uses can be a fun game, too. Ask other family members to help. Make it a game. Have each person write down as many uses for an item that they can think of. Research books on recycling at your local library to learn more recycling tips. At the end of Waste Not Wednesday you'll surely have thought of some useful recycling ideas that suit your personal needs.

Track and record finances

noreply@blogger.com (PungPond) — Sun, 09 Dec 2007 08:35:00 +0000

You've created a great budget and have planned for current and future spending. You want your spending predictions and financial goals to stay on track, now that you have a practical plan to achieve them. Today's spending will directly effect the success of planned spending. After all, if you overspend on current needs, you won't have the funds available to keep your finances moving towards your goals. So, how can you assure yourself that your finances are moving in the right direction? Tracking spending accounts keeps you in control of your money!

Track your spending accounts and assign transactions to appropriate budget categories daily. Making this a daily "to-do" will give you the knowledge to keep your finances moving in the right direction. Tracking purchase transactions daily gives you a clear picture of how much you have left to spend in each category at any given time. You've set your limits based on your individual financial information. Now, track your spending to be sure you stay within those limits. If you skip this important part of a complete spending management system, you will inevitably overspend and be short the funds to apply to future spending and goals. Give your financial predictions the winning edge. Track spending daily.

Tracking in real time is an innovative method of tracking your money. Real time money management retrieves transactions from spending accounts in a timely, efficient, manner so you can stay on top of spending everyday. Assigning spending transactions to their appropriate categories, as soon as possible, gives you an up to date picture of how much you have spent, and how much you have left to spend, in each budget category. This technique eliminates month end spending surprises and puts you in total control of your money.
Finding out you've over spent after the fact doesn't leave you many options. You no longer have the option not to spend on that expense. You must adjust other spending goals to make up for the mistake. Usually, this adjustment will come from your planned future spending. Your funding for future financial goals will be neglected and your budget falls away from "the plan." It's too late to adjust your spending accordingly once the money is spent. That's why it's so important to track your spending as it occurs.

Keep your predictions and goals on track. Track and record purchases in a timely, efficient, manner to maintain complete control of your money. This is an essential part of a complete spending management system. Know what your current financial picture looks like to give yourself more decision options. Keep the doors to your financial success open. Track your spending to keep your financial predictions and goals on track.
Next in this four part series - PART 3: Comparing Spending

Reduce your Grocery Costs

noreply@blogger.com (PungPond) — Thu, 06 Dec 2007 16:01:00 +0000

Monday, concentrate on saving money on your food budget. Miser Monday? The definition of a miser is "a saver." Today's savings challenge is to become a grocery miser. Once you start saving on groceries, you'll want to learn more ways to save on groceries. Few people realize that the grocery expense is the most flexible budget expense. You can easily reduce your grocery costs using some simple money saving strategies. Grocery savings can be substantial savings that can free up money for future financial goals. It's the first place to look for, and eliminate, overspending.

Plan your weeks menus around the sales flyer for the store where you frequently shop for groceries. If there's a great buy on ground beef, plan to have spaghetti, chili, meatloaf, or some other ground beef dishes. The same strategy applies if chicken is on sale. You can have two or three meals planned around the meat special for this week. Plan at least one, preferably two, meatless or reduced meat meals. Beans and rice or bean casseroles are a good meatless meal. Thinking ahead, and planning, is an important part of saving money.

Use your menus to make a grocery list. Purchase only the items on your list. You might need to use a great deal of self control but, you'll save time and money using a grocery list. Purchase only the grocery items needed to complete the week's menus. You might also want to consider stocking up on any leader sale items that you use on a regular basis.

Save even more using other money savings strategies. You don't have to clip coupons to save. The rule for coupons is to clip coupons for products you plan to buy. Don't buy a product simply because you have a coupon. You'll save just by planning your menus around sale items and sticking to your grocery list. But, using some other money saving strategies, you can save even more money.

Search for coupons for items on the list before going to the store. Compare pricing carefully. Larger quantities aren't always cheaper, especially if a smaller quantity of the same item is on sale. Pricing by unit (per pound, ounce, or quart, liter, etc.) is the best way to compare. Deception in packaging is a common food vendor practice. Learn not to be fooled.
Buy generic, if generic is lower cost. Many generic products are just as good as brand name items. Many grocery stores now offer a rebate program for even more savings. They make it very easy by providing online submission sites. No more mailing in receipts and filling out forms. Receipts are automatically tracked and rebate items credited to your account.
Using a combination of these saving strategies on your grocery purchases will result in maximum savings. Purchase sale items, and use coupons and rebates in combination whenever possible. If you've planned your menus correctly and followed your grocery list, you should not have to return to the grocery store until next week. That leads me to the next grocery saving strategy.......Stay out of the grocery store as much as possible.

Grocery stores use numerous consumer tactics to get you to buy more! They do a great deal of research in consumer habits to develop tactics that prompt you to spend more. Don't expose yourself to consumerism any more than is necessary. If you must run to the store for a forgotten item I have two suggestions. Send an older child into the store to purchase the item. They won't have the option to buy anything else. If that's not possible, take the most direct route to the product you need and head straight for the cashier. When you've saved all that you can save on your grocery bill, you've met your Miser Monday savings challenge.

Save Money Everyday

noreply@blogger.com (PungPond) — Mon, 03 Dec 2007 14:49:00 +0000

Track Your Results

noreply@blogger.com (PungPond) — Sun, 02 Dec 2007 10:21:00 +0000

All throughout this money saving journey you want to keep this process as organized and structured as possible. You'll find that a lack of organization will not only frustrate and make things more difficult for you, but it will be nearly impossible to track your results.
Tracking your results is one of the MOST important steps to the money saving process. If you do not track the results from your money saving efforts, the money you save will never be set aside and put towards your pre-established GOAL.
Believe me, I know how difficult it can be after researching and implementing money saving techniques to take additional time to track your results, but this is your "bread and butter"; the whole reason you're budgeting and conserving.
How will you ever accomplish your goal if you aren't tracking how much money you're saving? You won't, and more than likely you'll end up spending the money you were able to save.

If there is one idea you take from this last section, remember that tracking your results allows you to get an exact dollar amount that has been physically set apart from your regular checking and savings accounts designated solely toward your predetermined goal.
Since it will be much easier for this process, and your conscious, it is recommended that you open a special savings account just for the money you save.
With this "special" savings account, you can easily tell how much you have saved by simply looking at your monthly statement. This account will also help prevent you from accidentally spending the money since it is not directly linked to your regular checking or savings accounts.
*Suggestion: do not get an ATM card linked to this account so again, you won't be able to simply withdraw money and spend it needlessly. Be firm and only spend the money on your GOAL.
Of course you can always keep the money in a shoe box under the bed, but think how easy it would be for you to simply reach in that box and spend that money. With a special savings account, not only will you treat this money with more respect, but you will also get a monthly bank statement you can use to help track your results.
*Note: make sure you sign up for a free savings or checking account devoid of monthly fees regardless of the amount you maintain. Check with the different banks in your area for the most accommodating

Final Thought

You now have in your possession eight steps to effectively combat the money saving process. Your success is entirely up to you and how devoted you are to this task. If you dedicate yourself wholeheartedly and refuse to accept defeat you will achieve your goal(s).

The Three R's - Review, Revise, Retry

noreply@blogger.com (PungPond) — Sat, 01 Dec 2007 08:06:00 +0000

Anyone who has tasted success, has in some way or another taken into account the "three R's" - Review, Revise, Retry.
How do I know this? Reason being, nobody is perfect, so no one will be able to do a perfect, flawless job on the first attempt in anything whether it's for work or pleasure. This is nothing to be ashamed of, it's just a fact. We as humans have flaws and are imperfect. But our determination, creativity, and willingness to adapt, allow us to achieve the things we set our minds on.
What will determine your success in this budgeting/money saving journey will be directly related to the three R's: Review, Revise, Retry.

Purpose of Reviewing

Once you have designed and implemented your money-saving agenda for a couple weeks, take a moment to reflect on your progress. Ask yourself these questions: What seems to be working best right now? Is there something I know is definitely NOT working? What was the most positive result from my efforts? Do I have new ideas I'd like to incorporate into my plan?
The purpose of this reflection process is to analyze your efforts to date, and decide what has been positive, and what may need revision. You will then be able to continue doing what works, and at the same time get rid of the techniques that are not working.
It is imperative that you reflect on your progress to find what is working for you, and not waste precious time on ineffective, useless practices.

Purpose of Revising

Once you have reviewed your progress, you may have a few ideas you would like to revise or start using. You may find that some techniques simply need to be adjusted so that they become more effective for you.
The revision process allows you to take mediocre techniques and turn them into effective money-saving methods.
This could be comparable to a writer who has just finished the first draft of a new book. This author is not about to ask a publisher to put this book "on the shelves" in stores. It has to be revised, edited, proofed, re-written, and finalized, in order to get the book as solid as possible.
Same thing goes for the money-saving process. You'll want to revise your plan discarding ineffective ideas, and altering semi-effective techniques in hopes of improving their results.

Purpose of Retrying

Now that you have reviewed and revised your agenda and have a few different ideas you want to try out, it is now time to put those ideas into effect, hence the title RETRY. It is now time to retry your efforts and see if these changes make any difference and improve your situation.

You should be able to tell rather quickly if your revisions are helpful.

Conclusion

Keep in mind that these money saving exercises are ALL new to you. Budgeting, saving money, lowering bills, nothing will be perfect the first time, so don't expect it to be.
Do you think Thomas Edison invented the light bulb on his first attempt? Of course not! There were dozens of failed attempts, but this learning process gave way to his success. He revised his methods and adapted to the new found ideas and information. He was also not afraid to change his theory and models to make way for new beliefs and opportunities. Same goes for you.
Don't be afraid to make mistakes or be unsuccessful with certain money saving techniques. It's OK. It will happen. Point is, it's important to Review Revise, and Retry whenever necessary. If something does not work, make the necessary revisions and try it again. This process is expected and it is a sign of someone striving for success.

Implement a "Game" Mentality

noreply@blogger.com (PungPond) — Sat, 01 Dec 2007 01:11:00 +0000

Now that you have a goal to strive for, a list of variable bills to lower, and an understanding as to why it's important to compare cost, risks, and benefits before making a purchase, you're now ready to CHALLENGE yourself to succeed.
Are you wondering how you are supposed to CHALLENGE yourself?
Take for example a track runner/sprinter who is able to run the 100m sprint in 10.6 seconds. What do you think this runner will do next? He/She will CHALLENGE themselves to beat that 10.6 time the next sprint.
Point is, this runner is constantly pushing him or herself to do better. The CHALLENGE is to strive for a faster time each and every time they run the 100m sprint.
Same thing applies to your money saving efforts. You will want to CHALLENGE yourself to beat the amount you can save each and every month.
When you CHALLENGE yourself to save as much as possible, you inspire yourself to succeed. Since you are faced with this "CHALLENGE" you'll start thinking "Hey, if I was able to save $75 this month, there's no reason why I couldn't save $85 next month."
For example, if you were able to save $84 in October, your goal for November is to beat that amount. In other words, save more than $84 in the month of November.

Name Your Game

Once you are ready to challenge yourself, try and think of this whole process as one big, giant GAME. You can name this GAME whatever you want, but try and incorporate your GOAL into the name of this budgeting GAME.
For example - "Hawaii, Here We Come""Chevy Silverado Savings""Our Family Trip To Vegas"
As with any game, the object is to have fun and win.
Thinking of these money saving exercises as a game will both inspire you and help you take your mind off the whole saving process. More importantly, this game can help you get your whole family involved without having to beg and plead with them to help. Remember, children L - O - V - E games!
Make a colorful chart or illustrated graph on which you can track your savings total. You can then post it in a location where your family can look and see their progress whenever they want.
GET CREATIVE and HAVE FUN with your money saving goals. The more pleasant and enjoyable you make this project for you and your family, the more likely you'll be to follow through with your plan and ACTUALLY be successful.

Conclusion

Implementing a "game" mentality will not only help alleviate any stress or fear you may have regarding this whole process, but it will make saving money much more enjoyable to do. Who doesn't like to play games?
Not only will a game make your agenda much more appealing, but it will kickstart your competitive spirit and CHALLENGE you to do your best.

Weighing the Cost, Risks, and Benefits

noreply@blogger.com (PungPond) — Wed, 28 Nov 2007 13:42:00 +0000

In addition to lowering your monthly bills and expenditures, you need to look at your shopping/spending habits and determine if any changes need to be made.
This is extremely important for a number of reasons. Basically, how helpful would it be if you took time to research and implement effective money saving tips, then went out and needlessly spent $200 on stuff you really didn't need? You would have done all that hard work for nothing.
This is why it is important to not only lower your monthly expenses, but to also adopt the mind set that before a single dollar is spent on anything, weigh the cost, risk and benefits they will have on your budgeting efforts.

Cost - Risks - Benefits

What does that mean - cost, risks and benefits?
Basically, this is a shopping mentality most frugal and conscientious individuals maintain WHENEVER they are faced with the choice to buy, or not to buy (the question every shopper should address before spending their hard earned money).
Think of this as a ritual you follow prior to purchasing ANYTHING. From the smallest trinket, to the most expensive gadget, get into the habit of comparing the COST - RISK - BENEFIT, before you spend a single dollar.
Regardless of how much it costs, get used to comparing these three important factors. For smaller, inexpensive purchases, you can simply weigh the pros and cons in your head. For larger, more expensive purchases, you should write down the benefits and consequences and discuss it with significant others in your family.

Cost

First of all, the COST of the item/product you are thinking about purchasing. Is it reasonable? Will buying this product put a major dent into your spending allowance? Can you afford to purchase this product without having to change any spending/living habits?
Get used to questioning the cost of every purchase. Ask yourself questions such as - would it be better to wait for a sale or markdown? What about buying the item/product used or borrowing from friends?

Risk(s)

What is the RISK to you and your family if you do decide to purchase a particular product? In other words, how will it affect your lives?
For example, if you were to purchase a new $30,000 car, what effect would that have on you, your significant-other, your children, etc? Will you have to work more hours in order to get by? Will you have to cut back in other spending areas to afford this new payment? Will this added expense keep you from paying your other monthly bills with ease?
There are always RISKS to consider whenever you purchase something, especially when you purchase something with an expensive price tag. Many times we overlook these RISKS and simply buy without thinking about all the possible consequences. Keep this in mind and you'll avoid putting yourself and your family at RISK!

Benefit(s)

In addition to the risks associated with any new purchase, there are also some benefits to consider. At least there should be some benefits or you shouldn't even be thinking about buying it. In short, how will this product benefit you and your family? Do the benefits outweigh the risks?
To put this into perspective, imagine a large scale. The Item/Cost is in the middle of the scale, and on each side are balances. One side has the RISKS, the other side has the BENEFITS.
If you find that the BENEFITS outweigh the RISKS, then you know that the purchase is reasonable and will BENEFIT you and your family. On the other hand, if the RISKS outweigh the BENEFITS, then you may want to consider not buying that particular item. Why put you and your family at RISK if it's not going to benefit them?
Make it a habit to always compare the RISKS with the BENEFITS before buying. Not only will you find yourself becoming a more wise, careful shopper, you'll find this to be an excellent money-saving opportunity to help you in achieving your goal.

Eliminate Unnecessary Spending

noreply@blogger.com (PungPond) — Tue, 27 Nov 2007 09:56:00 +0000

You'll find that one of the easiest ways to come up with additional money is to first put an end to all the needless spending.
I'm sure you are all familiar with this concept. Every single one of us has been guilty of wasteful spending at one time or another in our lives.
For example, have you ever walked into a store just to "look around" and ended up spending $50+ on stuff you didn't plan on buying?
Or how about the five or ten dollars spent on junk food and impulse buys at the supermarket? It may not seem like much at the time, but that money adds up to a rather hefty bill over time.
These are examples of the types of spending habits you want to try and rid yourself of, especially since you are striving towards the GOAL you decided on a while back. Refining this approach, you can start directly eliminating unnecessary spending with most, if not all of your monthly variable expenses.

Where To Begin

Now that you have a list of all your monthly expenses and have singled out five of the most excessive bills, it is time to start eliminating unnecessary spending in these five areas.
When you start tackling your expenditures on an individual basis, adopt the mind set that EVERY dollar is important and valuable to your personal goal. Five or ten dollars may not seem like much to save off one bill per month, but if you multiply that by all your bills, over the course of a year you get a much more substantial figure.
You may soon find yourself saving an extra one or two hundred dollars a month just by eliminating excessive and unnecessary spending from your monthly expenses. And the best part is that you did not have to get another job. You did not have to work overtime or additional days at your current job. All you did was tackle each individual monthly expense with creative, yet effective, money-saving techniques.
Since you have already singled out the five bills that seem to be the most excessive, you have a specific starting point. Remember, there's no need to overwhelm yourself by trying to lower all your monthly bills at once. Not only will you burn yourself out, but you won't maximize your savings potential with each individual bill.

Finding Effective Money Saving Tips

In order to lower your bills to their lowest possible amounts, you will need to devote some time to research and find tips specifically designed for each particular bill.
For example, if you are trying to lower your household electric bill, you would want to search the Internet, contact your electric provider or visit their website (ie: sce.com), check out the local public library or maybe even a bookstore for any sources providing useful, relative tips.

Once finished researching, you will have a list of all the tips you plan on implementing similar to this:

Change to lower wattage/energy efficient light bulbs

Install ceiling fans (reduce AC & circulate hot air)

Lower temperature on water heater & refrigerator

Insulate attic area and access panels

Seal & caulk ALL air leaks

ALWAYS turn off appliances when not in use (ie: TV)

Install outdoor window shades to help cool the house

etc...

Expense Tracking

noreply@blogger.com (PungPond) — Mon, 26 Nov 2007 07:49:00 +0000

Now that you have a specific money-saving goal to strive towards, it's time to dive into the process of lowering your monthly bills and expenditures.
Obviously, a choice you have is to work "overtime" hours at your current place of employment, or get a "second" job for additional income. For the record, the following process we will divulge does not look at this opportunity.
Hence, the agenda from this point forward will be to analyze all your expenditures, and lower the monthly amounts of each bill one by one in order to save the difference.

Where To Begin

To come up with extra money, or to generate a substantial increase in your monthly savings, you MUST first find out where you are spending the money you earn.
Everyone's individual saving potential is unique, varying anywhere from $10-$1500+ a month. Since incomes and monthly expenses differ for literally every household, it is impossible to set a standardized target everyone can achieve.
Point is, regardless of how much money you make per month, it is imperative that you find out how much money you are spending per month, and even more specifically, how much you spend on each specific bill/expenditure.
The degree of accuracy you put towards this task is up to you as always, but at some point you will need to list out all your monthly expenses. To put your mind at ease, you don't need to spend hours upon hours calculating averages and compiling data for the past decade. You simply need to list out each and every expense you pay per month, and the most accurate estimations for each particular expense.

Here are some of the most common monthly bills found in most households:

Electricity
Mortgage
Car Payment
Food
Clothing
Insurance(s)
Home Telephone
Gasoline
School
Dining Out
Pets
Water
Gas (home)
School
Pets
Water
Internet (ISP)
Home Cable
Entertainment
Cellular Phone
Miscellaneous

If you have the most current statements handy, then by all means use the exact amounts, however try not to let this exercise consume more than an hour of your time. This is not meant to depress you, or criticize your spending habits. It is merely a list to help provide you with a "bird's eye view" of how and where you spend your money.

Now That You Have Your List

We all have some spending habits that may be a bit excessive, or untamed. You may have even surprised yourself as you were making your list of expenses and had to double check to see if you were writing the correct amount. That's ok! Think of it this way, it will only get better from here on out.
Our goal now, is to eliminate all the excessive, unnecessary spending on as many monthly bills as possible.
Using your list of bills/expenditures, go through and highlight or underline FIVE of the bills that seem to be the most excessive. In other words, you are looking for five of your bills that you can immediately tell are unattractively absurd.
These are the five bills you will want to tackle first since they are the most extreme and will probably be the easiest to lower.

Declare your Money-Saving Goals

noreply@blogger.com (PungPond) — Sun, 18 Nov 2007 10:18:00 +0000

Now that you are 100% sure in your decision to effectively save more money, the next step is to decide on a specific goal you want to achieve.
The purpose of establishing a money saving goal is that it allows you to strive for a tangible reward you have wanted for some time, but maybe never had the money to purchase.
A money-saving goal will keep you focused on the task at hand and help guarantee your success. If you find yourself wavering from your agenda, keeping your end reward in mind will get you back on track, urging you to continue on.

Which GOAL Is Right For You?

The goal you select does not need to be above a certain price, or take you twenty years to acquire. However, it should be something that you REALLY want. For instance, if you have always wanted to vacation in Hawaii, but never had the "spare" money to accommodate this excursion, then this may be a goal to set for yourself.
If you have your mind set on a new entertainment center for your living room such as a 60" flat panel, wall mountable, digitally enhanced television, complete with a superior, top-of-the-line audio system, then this may be the money saving goal for you.
In addition to these types of goals, you may want to bypass the "short-term" rewards and strive towards a long-term goal such as securing retirement, a vacation home, or building a six-digit savings account. Again, this decision is entirely up to you, however keep in mind that it may be a good idea to first start off with a short-term goal in order to get rewarded from your efforts in a relatively short amount of time. Then afterwards, once you are more accustomed to this money-saving process, you can move on to a long-term, more elaborate goal.
As soon as you decide on a specific goal to strive towards, put a picture of it up on the wall in your room or in a highly visible area so you will be constantly reminded of your reason for saving money. The visual stimulation alone will help keep you inspired to succeed and hopefully prevent you from giving up on this important endeavor.
In addition to posting a picture of your goal, get creative and make a chart or graph to track your progress. Designing some type of tracking system will not only keep you motivated, but provide you with the exact amount you have already saved, and how much is still needed. You may also find that tracking your progress will allow you to see what techniques are paying off, and let you compare savings totals month to month which should hopefully be increasing as you go along.

Do you REALLY Want to Save Money?

noreply@blogger.com (PungPond) — Thu, 15 Nov 2007 16:24:00 +0000

Asking the question if you really want to save more money may seem a little absurd, especially since everyone probably wants to increase their savings account and have more money to spend. Less debt and more savings sounds like the best of both worlds, right?

The reason I'm asking if you REALLY want to save more money is to assist you in determining how sincere and motivated you are towards this upcoming endeavor.

Sure it's easy to proclaim your desire to save more money. That's the simple part. Anyone can shout out "I'm going to save more money!" or "I'm going to lose 40 pounds!" or "I want to be a millionaire!"

Where was the difficulty in making those statements?

Simply vocalizing your intentions is one thing however actually accomplishing these tasks is a completely different story and here's where my question comes into play: Do you REALLY want to save more money?

If you are able to answer with a confident, definite YES, congratulations! You have taken the first step in accomplishing this intimidating task.

Granted this is probably the easiest part of the entire budgeting process, nevertheless the role it plays in your effort is crucial. Put it this way, without fully committing yourself to this task, how can you expect to have any success? You won't, and your efforts will be short lived. This is something you definitely do not want to happen.

Over the next week, take the time to decide if you are truly ready to effectively tackle the money saving process. Remember, this exercise will be like any other hobby or new undertaking. You will need to put some time and energy into this task in order to be successful.
Just as you can't learn to play the piano or learn how to paint without putting the time in to practice, same goes for the money-saving process. Remember that in order to reach your financial goals, you will need to devote some serious time to accomplish what you are seeking.

Granted the amount of time you'll need all depends on the degree of importance this plays in your life. Still understand that success comes only after devotion to the task.

Hopefully this has helped you come to realize that budgeting and saving are serious tasks that are vital to your family's financial future. It is now time to prepare yourself to accomplish this extremely important task.

8 Steps to Save Money

noreply@blogger.com (PungPond) — Mon, 12 Nov 2007 10:31:00 +0000

Free Budget Worksheets

noreply@blogger.com (PungPond) — Sun, 11 Nov 2007 08:20:00 +0000

These free budgeting worksheets are in high quality PDF format so that you can easily print them. Because these budget worksheets are high quality the file sizes are large, so it may take a few minutes to download. Please be patient. You will need the free Adobe Acrobat Reader to view these files.

There's a Better Way!

Manually tracking your finances using paper worksheets like the ones above can be a difficult and time consuming task. Luckily, there is a revolutionary new modern method to track your spending and manage your finances. Mvelopes Personal modernizes the budgeting concepts used in the budgeting worksheets above by using advanced Internet technology. You can now manage your finances in just a few minutes a week allowing you to get out of debt and save for the future. Mvelopes will give you the peace of mind to spend with confidence, knowing the money is set aside for each expense.

Has Microsoft® Money Helped You Become Better Off Financially?

noreply@blogger.com (PungPond) — Mon, 05 Nov 2007 08:14:00 +0000

I tried to get started using Microsoft Money several times. But after getting it going I found that it just didn't really help my finances. Most people find they are not better off after using Quicken. In spite of all that Money does it does not solve the fundamental problem that keeps most people from achieving their financial goals, and that is managing their spending. The key is budgeting, but not the traditional approach. Money uses the traditional after-the-fact approach, basically a month-end reconciliation of budget to actual spending, which simply does not work. Imagine trying to manage your grocery or clothing spending but not knowing how much you have spent in each until the end of the month. It just doesn't work. You need accurate, up-to-date information for each spending category right when you make a spending decision. You cannot wait until the end of the month.

Something New!

I found a great option to using MS Money to manage my personal finances. It is called Mvelopes Personal. Mvelopes Personal allows you to easily create a budget with dynamic spending accounts that provide you with daily, up-to-date balance information for each spending category. You always know how much money you have left to spend in each category, and how long it has to last. You can then begin to manage your spending, and lay the foundation for reaching your financial goals. Take a look at the following key feature differences that make Mvelopes different.

Has Quicken® Helped You Become Better Off Financially?

noreply@blogger.com (PungPond) — Sun, 04 Nov 2007 08:30:00 +0000

As an experienced Quicken user I found that it didn't really make a difference to my finances. Most people find they are not better off after using Quicken. In spite of all that Quicken does it does not solve the fundamental problem that keeps most people from achieving their financial goals, and that is managing their spending. The key is budgeting, but not the traditional approach. Quicken® uses the traditional after-the-fact approach, basically a month-end reconciliation of budget to actual spending, which simply does not work. Imagine trying to manage your grocery or clothing spending but not knowing how much you have spent in each until the end of the month. It just doesn't work. You need accurate, up-to-date information for each spending category right when you make a spending decision. You cannot wait until the end of the month.

Something New!

I found a great option to using Quicken to manage my personal finances. It is called Mvelopes Personal. Mvelopes Personal allows you to easily create a budget with dynamic spending accounts that provide you with daily, up-to-date balance information for each spending category. You always know how much money you have left to spend in each category, and how long it has to last. You can then begin to manage your spending, and lay the foundation for reaching your financial goals. Take a look at the following key feature differences that make Mvelopes different.